Vanuatu Graduates from Least Developed Country Status

HSASS — Fri, 04 Dec 2020 21:36:00 +0000

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In all its cultural vividness, performers from Futuna island, Vanuatu, celebrate their traditional dance.

Graham Crumb / DFAT

NEW YORK 4 December 2020 – The small island nation of Vanuatu is celebrating today as it is officially no longer classified as one of the world’s least developed countries, or LDCs.

Despite the compounding threats of COVID-19, natural disasters and climate change, the Vanuatu government sees graduation as a positive sign that the country is increasingly able to build resilience and meet its citizens’ needs.

Vanuatu is the sixth country to graduate out of the LDC category, an achievement that the Secretary-General of the United Nations, António Guterres, called “historic” and the result of years of effort resulting in hard-won sustainable development gains.

In a video address to the people of Vanuatu, Mr. Guterres said:

“It is admirable that Vanuatu’s graduation will move forward despite the setbacks it has suffered from the ever-worsening impacts of climate change and natural disasters, and the economic devastation caused by the COVID-19 pandemic, on tourism, trade and remittances.“

He continued,

“Let me assure you of my full and undivided support to weather these challenging times, to combat climate change and to defeat the pandemic and recover better from its impacts.”

Repeated natural disasters, including Cyclones Pam and Harold, and recent volcanic eruptions, have decimated food stocks and forced mass displacement in Vanuatu over the last five years.

And while Vanuatu only recorded its first COVID-19 case in November - much later than the rest of the world - the small island state has still been seriously impacted by the pandemic, especially by the collapse in tourism from nearby countries like Australia and New Zealand.

Congratulating the people of Vanuatu, Fekitamoeloa Katoa ‘Utoikamanu, United Nations High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States, called upon the international community to provide their full support to Vanuatu after graduation:

"The people of Vanuatu have always been resilient, and graduation is a sign that their economy is increasingly so too. Graduation is a major achievement but also a major challenge. Development and trading partners, and the entire UN system, must commit to providing their full support to ensure a smooth and sustainable transition for Vanuatu.”

H.E. Mr. Odo Tevi, Permanent Representative of the Republic of Vanuatu to the United Nations, expressed confidence in his country’s ability to weather the storm:

"Graduation shows the world Vanuatu’s potential and its ability to achieve its development goals and visions. We will adopt a route of sustainable, resilient and inclusive development that protects our serene ecology and ensures that our children grow up with a new world of opportunities, and a safe and healthy environment.”

46 countries remain classified as least developed, with eleven on, or about to join, the path to graduation. This reflects significant progress over the past number of years. Angola is due to graduate early in 2021, followed by Bhutan in 2023 and São Tomé and Príncipe and the Solomon Islands the following year.

Graduation from the category of Least Developed Countries continues to be a high-priority development objective for LDCs, development partners and multilateral organisations. But it brings important challenges. Ensuring smooth graduation requires transitioning away from LDC-specific support measures, including preferential market access for exports and access to some concessional financing instruments.

Front Page Article:

Twelve Least Developed Countries on Path to Graduation Reflects Significant Development Progress – Despite Ongoing Setbacks

HSASS — Mon, 12 Oct 2020 19:24:00 +0000

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Third grade students during class at Norsup Primary School. AusAID supports education projects on Malekula Island.

Connor Ashleigh / AusAID

NEW YORK 12 October 2020 – The Istanbul Programme of Action for the Least Developed Countries (LDCs) set an ambitious goal to see half of the LDCs graduate from the category during its period of implementation of 2011-2020. Though that target has not been met, progress made by several LDCs has led to a record number meeting the graduation criteria.

The United Nations Committee for Development Policy (CDP) reviews the Least Developed Country (LDC) Category every three years to monitor member countries’ progress against measurements of income, human assets and vulnerability.

At present,twelve countries out of 47 are on, or about to join, the path to graduation.This is a positive development reflecting significant progress in the past number of years, especially when compared to previous decades.

Graduation from the LDC category marks an important milestone in the development path of each LDC. However, the phasing-out of international support measures associated with LDC status could present challenges for graduating countries in their efforts to further integrate into the global economy.

This December, Vanuatu will graduate, followed by Angola in early 2021. Bhutan is scheduled to graduate in 2023 and São Tomé and Príncipe and the Solomon Islands the following year.

In February 2021, the CDP is expected to hold its triennial review of the LDC category. Lao PDR, Bangladesh and Myanmar, depending on their performance on the LDC criteria and other aspects of their development trends, could be recommended for graduation.

The potential eligibility of Nepal, Timor-Leste, Kiribati and Tuvalu for graduation will also be reconsidered in 2021.

However, the 2021 triennial review will be held against the backdrop of one of the worse global multifaceted crises in the history of the United Nations.

The COVID-19 pandemic has wrought devastating social and economic consequences, including on global trade and tourism, key sectors for many LDC economies. It is now threatening to roll back progress made by a growing number of LDCs on the path to graduation. 

Strong support from development and trading partners has never been more urgently needed.

For graduating LDCs, the commitment to recover and Build Back Better along a sustainable graduation path has been remarkable. UN System support of these efforts, on the ground and at Headquarter level, has been a lifeline for many.

Graduation from the category continues to be a high-priority development objective for LDCs but it brings important challenges.

Ensuring a smooth graduation requires appropriate management of a transition away from LDC-specific support measures, including preferential market access for exports and access to some concessional financing instruments.

Graduating countries must also juggle other development objectives, including economic diversification, enhanced international value chain participation, and making productivity improvements. The impact of COVID-19 has added another layer of complexity to the task.

The Inter-Agency Task Force (IATF) on graduation support established by OHRLLS in 2017 brings all entities involved, UN and otherwise, to the same table. Together, they formulate a common programme of assistance to help smoothen transitions and better coordinate the UN System-wide support for graduation.

For example, the IATF has been collaborating with the United Nations Resident Coordinators for Lao PDR, Vanuatu, Solomon Islands and São Tomé and Príncipe to funnel support from all parts of the international system in the wake of COVID-19.

In September, the first in a series of virtual sessions on graduation implications for Lao PDR was held in collaboration with the government , the UN Resident Coordinator and the Task Force, represented by OHRLLS, DESA, UNCTAD and ESCAP.

More virtual sessions are planned to look at the trade and development finance implications of graduation, helping the Lao PDR prepare their own transition strategy as part of its national development plan.

In October and November, the Task Force will virtually host UN Resident Coordinators for Solomon Islands and São Tomé and Príncipe to help guide each country’s recovery and graduation plans.

Front Page Article:

5th United Nations Conference on the Least Developed Countries (LDC5) - Graduation

Vanuatu Graduates from Least Developed Country Status

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Twelve Least Developed Countries on Path to Graduation Reflects Significant Development Progress – Despite Ongoing Setbacks

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